DSR and LTV decide your limit
A Korean loan limit is the lower of two caps: DSR (repayment-to-income) and LTV (loan-to-value). This tool shows both.
DSR = annual principal + interest ÷ annual income, capped at 40% for banks (50% non-bank). LTV = loan ÷ home price, ranging 40–70% by region and home count.
⚠️ Since July 2025 the stress DSR (phase 3) applies an add-on rate at review, so your real limit is lower than this estimate. Rules change often — check the current standard and the bank's review. See the loan calculator or prepayment fee calculator.
Buying a home in Korea as a foreigner
- Same DSR and LTV rules. Banks apply the same DSR and LTV limits to foreigners, so this calculator works for you too. What differs is whether a bank will lend at all: each bank sets its own conditions, and many look for a residence-type visa (such as F-2, F-5 or F-6) or a long remaining stay and Korean income history. Ask several banks.
- Purchase permit in the capital area. Until at least August 25, 2027, foreigners buying a house or apartment above the permit-size threshold anywhere in Seoul, nine districts of Incheon and 23 cities and counties in Gyeonggi need a land transaction permit, must move in within 4 months and live there for 2 years. Officetels are not covered. Breaking the rule can bring enforcement fines.
- Registration counts as move-in. Your alien registration and change-of-address report legally replace the resident registration and move-in report Koreans use (Immigration Act, Art. 88-2), so keep your address up to date.
Rules change often — confirm with the bank and the local district office before you sign.